PARLIAMENT

Evening Star, Issue 23384, 29 September 1939, Page 5

PARLIAMENT

CUSTOMS AMENDMENT PASSES MANY MEASURES STILL OH ORDER PAPER (Per United Press Association.! WELLINGTON, September 28. An outline of the Government’s legislative programme for the remainder of the session was given by the Acting Prime Minister, Mr Fraser, when the House met at 2.30 p.m. He indicated that, besides the four Government Bills on the Order Paper—the Customs Act Amendment, the Statutes Amendment, the Rural Housing, and the Pharmacy Bill—there were also four measures before select committees which should shortly be reported back to the House. These were the Land Laws Amendment Bill, the Industrial Conciliation and Arbitration Amendment Bill, the Fair Rents Amendment Bill, and the Legal Aid Bill. There were also sis additional measures which were still to be introduced. Some would lie brought down to-day, hp said, some to-morrow, and some perhaps on Tuesday. These six measures were the Social Security Amendment Bill, which he did not . consider would take up much of the time of the House; the Visiting Forces Bill, which was more or less of a technical nature, providing for any forces of another dominion, et cetera, which might visit our shores; the Land and Income Tax Amendment Bill, which might require considerable attention; the Primary Products Marketing Bill, which might also warrant considerable attention; the Reserve Bank Bill, which might ho considered controversial; and the Finance Bill (No. 2), which was just an ordinary Finance Bill and might go through easily or not, as the case might be.

Mr Fraser added that when he had previously made a statement in The House he had indicated quite plainly that some of the measures which the Government might introduce may be controversial,' and it was as well to face up to the fact. The Government did not think it would serve any useful purpose by stifling criticism on such measures; in fact, it would not be doing its duty to the country if it did so. The session would be brought to a close as early as possible next week, he added, and it seemed to him that discussion on the more important financial measures would not begin until Tuesday or Wednesday. PAYMENT TO TROOPS.

Mr Macdonald, in an urgent question to the Minister of Defence ( asked whether, in event of troops being sent overseas, payment would be made in sterling or would be subject to exchange. Mr Jones, in reply, said that so much of the New Zealand soldiers’ pay as wi\s paid overseas would be free of exchange. On the question of men classed temporarily unfit because of dental trouble, which was also touched on by Mr Macdonald, the Minister said that where the treatment ordered involved not more than six hours’ work, the Army Department met the expense incurred, and the question of accepting liability in the cases of longer treatment was under consideration; CUSTOMS BILL. Moving the second reading of the Customs Act Amendment Bill, the Minister of Finance, Mr Nash, explained that under the Bill all the import and export regulations were made absolute. There no longer existed any limit to the prohibition of imports which had been introduced on December 7 last year, Another minor clause had been inserted into the measure to validate the importation by an Auckland merchant of a number of kerosene pumps which he had brought into the country without a license. The case had been contested in the courts, said the Minister, and, since the decision had been in his favour, it had been found necessary to validate the importation and remove any thought of interference with the decision of the court. The Minister added that the estimated revenue from the increased taxation might not be reached, because it was possible that a'fall in consumption would occur during the initial stages of the operation of the duties. Dealing with the increased taxation on tobacco, the Minister said the effect of the new taxes would he to increase the cost of imported tobacco by 2s 2Jd a lb. The duty on New Zealand manufactured tobacco would be 16.9 d, and to this would be added a penny in sales tax. 4.8 d in retailers’ profit, and an additional price to the grower of leaf of .9d, making a total of 23.fid a pound. This additional duty, he said, would he put into the War Expenses Account.

PETROL PRICES. Dealing with petrol prices, the Minister said a rebate of 6d a gallon, would be made on motor spirit for all purposes other than as fuel for road motor vehicles. Spirit used for agricultural tractors and other industrial purposes, including transport, would receive a further rebate of 4d, and that used for fuel for aircraft or fishing vessels an additional refund of 2d. Mr Macdonald contended that, in view of the outbreak of war, it would have been better to have adjourned the House immediately, and thus have avoided the present uncertainty regarding extra taxation. He appealed to the Minister to give an extra 2d a gallon rebate on the price of petrol for farm tractors, bringing them into line with fishing vessels, and urged the establishment of wet canteens in military camps, as he contended that such canteens would be under stricter control than would otherwise be possible. Mr Doidge asked if Mr would give some report on his recent mission to London. The House knew that the Minister under the circumstances- had done remarkably well, but they also wanted to know whether the changed circumstances were going to interfere with pledges made to the United Kingdom and the British manufacturers. Mr Wilkinson contended that New Zealand was entering the war under a great disadvantage in regard to its internal position, because of import regulations. He emphasised that he was not speaking antagonistically to the Government, but he did think that the regulations could have been made much easier and the safeguards more effective than they were at present. He then proceeded to criticise in detail the operation of the regulations. Mr Poison asked what was going to be done with the extra petrol taxation. Would it bo paid into the War Expenses Account? The Minister: As far as it has been collected it has all gone into that account . Mr Poison also asked that further relief should be given to the farmers by the remission of the petrol tax. In reply to an interjection, ho said that any farmer who used petrol on which the tax had been remitted for running into town should be severely dealt with. As a rule, however, the petrol for farm use was kept under lock and key and was of under-grade quality. FREE CRITICISM. Free criticism of the policy of the Minister of Finance was voiced by Mr Coates. Hq complained cf the hostile manner with which he said the Minister had dealt with questions from the Opposition concerning the import restriction policy. His answers had shown arrogance, said Mr Coates, and he failed to answer queries which demanded an answer, thus leaving sections of the community completely in the (.lark concerning the Government’s policy. The Opposition had offered the Government its wholehearted co-operation in the prosecution of the war, but if that cooperation were to be met by statements which were plainly from dictator, there could be no doubt as to the result. NO PETROL PANIC." The Minister of Industries and Commerce, Mr Sullivan, denied, the Opposition suggestion that the petrol restrictions had been put into operation in a moment of panic. He explained at length the reason for the imposition of such restrictions, and said _ they had been relaxed immediately it became clear that supplies were sufficient for the time being. Mr Coates, he said, had made complimentary reference to his administration, but Mr Sullivan, while thanking the right honourable member for it, said he regretted it had been coupled with an attack on the Minister of Finance, whom he had learned to respect very highly. Mr Nash, replying to the debate, said Mr Coates’s annoyance probably had been caused by his reply to a question which Mr Coates had asked during the afternoon regarding import restrictions, and which he had considered was the same as one asked by another member the previous afternoon. He had replied that he had nothing further to add to his explanation of the previous afternoon. If Mr Coates’had been caused annoyance, it had beein quite unintentional on his (Mr Nash’s) part, and he was, sorry that annoyance had been caused. "He had immediately sent a message across the floor of the House to Mr Coates, stating’ that the same question could be brought up under a clause in the present Bill, and if Mr Coates had then repeated the question the answer would have been given. If Mr Coates had not received that communication, then, Mr Nash said, ho could understand his annoyance, but if he had received it, then he considered that his attack had been grossly unfair. As far as policy matters were concerned, he would remind the right honourable gentleman that he (Mr Nash) was not the Government, and he was not responsible for its policy. He certainly, as Minister of Finance, had a share in shaping that policy. The Bill was read a second time, urgency being granted its passing through the remaining stages and also the passing of the Statutes Amendment Bill, the Rural Housing Bill, and the P.harmacy Bill. The Customs Act Amendment Bill passed through _ the committee stages with comparatively little discussion, the measure being given its third reading and passed. DRINK IN DANCE HALLS. Discussing tjie committal of the Statutes Amendment Bill, the clause providing penalties for drinking in dance halls came in for some criticism. (This is reported elsewhere.) The clause was eventually withdrawn, and referred to the Statutes Revision Committee, and on Mr Fraser’s motion the House rose at 1.3 a.m. until 10.30 a.m. to-day. LEGISLATIVE COUNCIL WAR EXPENSE BILL PASSED When the War Expenses Bill was debated in the Legislative Council this afternoon the Leader of the Council (Hon. D. Wilson) made it clear that New Zealand’s war effort would be made under the guidance of Britain and that every effort would be made to supply both the men and the materials as required. Hon. F, Waite declared that too much stress was being placed on the need for essential men in industry. Industries might be essential, but no man of military age was essential to industry. He urged the Government to concentrate on securing a division for service and then consider the position in industry. Hon. J. Alexander expressed the opinion that youns: New Zealanders would not let the Empire down. Hon. T. Blooclworth warned the Government not to send too many men out of the country before heins: certain that the defence of the Pacific was sure. New Zealand should provide both men and materials, but should not act too hastily, v J. A. Hanan said that the war would probably, b$ a long one asad

the Government should look well ahead. The country should bo in a position to carry on after the war was ° V Hon. W. Perry said that compulsory borrowing would be better than inflation. The war should be financed out of revenue as much as ’ possible because the present generation had brought the war upon itself fay refusing to take adequate defence measures, and it should pay for it. Mr Wilson said that the supply of men was bound up with tho future of the Empire and defence efforts must be for the Empire as well as for New Zealand. New Zealand would do her part in co-operation, and under the guidance of Britain, and Britain would decide where New Zealand troops should serve. There was no need for pessimism. New Zealanders realised that thev owned the best country in the world, and would increase their war efforts as the occasion required. The Bill was passed. The Wages Protection and Contractors Liens Bill also was passec^' The Council adjourned «£ 48Q,